Market Size of Italy Luxury Goods Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 4.90 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Italy Luxury Goods Market Analysis
Italy luxury goods market is expected to grow at a CAGR of 4.9% during the forecast period (2022-2027).
The COVID-19 pandemic affected the sales of luxury items in Italy due to the cross-border travel restrictions, as the country is a luxury shopping destination for many American and Asian tourists due to the reduced tax benefits as well as purchasing a brand locally evokes a sense of excitement and authenticity. Apart from the demand side, the pandemic also affected the upstream of the supply chain. For instance, Almax, a Scandicci-based factory engaged in the production of bags for 10 luxury brands including Kering, Gucci, and LVMH labels reported a decline in orders from March to April 2020.
However, the pandemic offered new opportunities in e-retailing and key luxury brands began to plan and diversify their online distribution strategies to offset the sales downturn resulting due to the closure of brick-and-mortar stores with the commencement of COVID-19. To narrow the buyer-seller divide, the bulk of the players began establishing their digital platforms.
In the medium term, the market is expected to grow with the expansion of e-commerce fashion and the rising number of luxury brand boutiques. For instance, in December 2021, luxury brand Fendi opened its new boutique in Milan, inside Galleria Vittorio Emanuele II, showcasing luxury bags, shoes, and apparel for both men and women.
